KMEW's Strategic Asset Utilization Drives Success at Paradip Port

Knowledge Marine & Engineering Works Ltd. (KMEW) (BSE: 543273) has received a Letter of Award (LOA) from the Dredging Corporation of India (DCI) for the Capital Dredging work at the Paradip Port. This contract, valued at Rs. 7,49,50,000/- (Rupees Seven Crore Forty Nine Lakhs and Fifty Thousand Only), will be executed within 4 months excluding the monsoon season. This is a testimony to our successfully completed previous contracts with Dredging Corporation of India.

The new contract has to be executed at Paradip Port, further highlighting our excellence in both capital and maintenance dredging. This latest win involves undertaking capital dredging to clear the hard patches in the North Dock Complex area of Paradip Port. Continuous project wins in FY 2025 underscore the company's growing reputation and reliability, reinforcing its leadership in the industry.

KMEW will deploy its existing vessel River Pearl 2 "Grab Hopper Dredger" for the said project. Prior to this contract, River Pearl 2 was deployed at Kolkata Port for a contract and was earning a revenue of Rs. 4.5 crores for the full year. This sizable order of Rs. 7.49 crores for the same asset will be executed only during 4 months. This strategic approach not only demonstrates the company's operational efficiency but also underscores its commitment to maximizing the use of its assets, ensuring continuous and effective deployment of its dredging capabilities.

Commenting on the Letter of Award (LOA), Mr. Sujay Kewalramani, CEO of Knowledge Marine & Engineering Works Ltd said that, "We are thrilled to announce our new contract for our existing vessel River Pearl 2. Our focus on exploring new segments complements our steadfast dedication to our traditional business areas. This dual approach allows us to employ our extensive expertise and ensure timely execution in all our endeavors. A key aspect of our strategy is the effective utilization of our advanced equipment, such as the Grab Hopper Dredger River Pearl 2. We are also pleased to highlight our focus on strengthening asset utilization, which has enabled us to win continuous orders and keep our dredgers actively engaged. This strategy not only optimizes the use of our assets but also ensures the successful execution of our projects, reinforcing our leadership in the industry.'

Shares of Knowledge Marine & Engineering Works Ltd was last trading in BSE at Rs. 1278.10 as compared to the previous close of Rs. 1195.00. The total number of shares traded during the day was 94625 in over 294 trades.

The stock hit an intraday high of Rs. 1300.00 and intraday low of 1130.00. The net turnover during the day was Rs. 119215481.00.

Source : Equity Bulls

Keywords

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